The European Securities and Markets Authority (ESMA) has fined Modefinance S.r.l. EUR 420,000 for breaching the Credit Rating Agencies Regulation. The breach involved Modefinance using ESMA's name in a way that suggested endorsement or approval of its credit ratings or activities. Between September 2018 and October 2021, Modefinance published statements on its websites referring to ESMA as having "certified" or "validated" a model used in its scoring and credit rating activities. ESMA found that this use of its name was misleading and could impact the proper functioning of EU financial markets. According to ESMA's Chair, Verena Ross, Modefinance's actions could mislead investors. The breach was found to have resulted from negligence on the part of Modefinance. In calculating the fine, ESMA considered both aggravating and mitigating factors provided in the CRA Regulation. ESMA has also issued a public notice regarding the infringement. The decision on the supervisory measure and the public notice are available on ESMA's website. The fine and public notice aim to ensure compliance with the CRA Regulation and maintain the integrity of EU financial markets.